It is my unequivocal belief that the current US income tax code should
be replaced by a federal consumption/sales tax. The current
code is a burden on individuals, unfair, unnecessarily complex and
causing me a headache.
I own a house that is occupied by my daughter and her family. I receive
from her monthly, a sum (rent), that does not cover all the monthly
costs I am paying for the house. That is, the mortgage costs, property
taxes and insurance costs exceed the rent I receive (without
considering depreciation).
More than one tax accountant advises me that the "rent" I receive is
income and should be reported to the IRS and I should also consider
getting more "rent" because the IRS is likely to challenge me about the
amount of "rent" I am getting for the house. The "rent" I receive is
satisfactory to me and at times will be less. This type of problem is
not unique to me , but should not be a problem to any US citizen.
I suspect there are thousands of reasons/examples that the current
code should be replaced, not modified. Before the panel finishes its
hearings, I sincerely suggest current proposals in the House and Senate
regarding a consumption/sales tax be briefed to the panel.
My name is Robert D. Secrest, submitted April 3, 2005, E-mail
bebo4@cox.net <mailto:bebo4@cox.net> , Indivdual